MINNEAPOLIS -- The city of Minneapolis says Dinkytown is a hot spot for development and it will likely stay that way as long as there's a demand for student housing.
The grocery store House of Hanson, a Dinkytown staple for nearly eight decades, is one of the businesses that is going away to make room for a mixed use apartment and commercial building.
Laurel Bauer is a third generation owner of the grocery store and has seen lots of changes to the Dinkytown area since she began working at House of Hanson when she was 12.
"I think this one is a little more emotional due to the fact that we've been here so long and the fact that there is so much change happening elsewhere in the area," said Bauer.
The development boom in Dinkytown has been growing in the last five years and continues to grow.
Haila Maze, the city's principal planner says the construction in and around Dinkytown has been spurred by demand in student housing.
"The developers have been listening that," Maze said. "And they've listened to other areas to have really stepped up to build a lot of new housing with a lot of amenities that weren't in our previous housing stock," said Maze.
Several new apartments are going up on University Avenue as the trend of students wanting to live close to campus continues.
(Copyright 2013 by KARE. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)